Opportunities ahead for €88tn fund industry

The Irish funds industry is well positioned to take advantage of global growth which is set to take total assets under management worldwide past some $100tn (€88tn) by 2020.

The next three years will present a range of opportunities for asset managers here and across the globe, but also create significant challenges for those not adequately prepared to take advantage of the changing landscape.

“Asset managers globally and in Ireland face a volatile environment over the next three years… opportunities exist because of some of the mega trends, for example, who will gain competitive advantage through disruptive technologies in the asset management industry?

“But there will also be challenges for those that do not have a strategy to succeed in high-growth areas,” said PwC Ireland asset management practice partner, Andy O’Callaghan.

Globally, asset management CEOs are confident of revenue growth but remain vigilant of costs, a new PwC report shows. Of the 1,300 managers surveyed across 46 countries, 88% were confident of achieving higher revenues this year, rising to 95% over three years. Almost half also anticipate cutting costs.

The US and China are considered the most important avenues for further growth.

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